What de-dollarisation? The dollar rules the world
Dollar hegemony is beneficial for the US, its government and most of its citizens – and is likely to last for the foreseeable future
BY ONE estimate, the US dollar is a part of 88 per cent of all international transactions. Some people fear this dominance cannot last, while others question whether it should: Doesn’t a stronger dollar hurt US exports, and thus US workers?
The good news, for Americans at least, is that dollar hegemony is beneficial for the US, its government and most of its citizens. Furthermore, it is likely to last for the foreseeable future.
The issue has become more topical lately. Because of sanctions, Russia is cut off from many dollar-based networks. Other nations, such as Brazil, India and Saudi Arabia, have made at least cosmetic moves towards “de-dollarisation”, hoping to rely less on the US dollar for their international exchanges.
Decoding Asia newsletter: your guide to navigating Asia in a new global order. Sign up here to get Decoding Asia newsletter. Delivered to your inbox. Free.
Share with us your feedback on BT's products and services
